Maskless digital lithography systems and methods with image motion compensation are disclosed. The systems include an illuminator, an image transducer and a scanning device, wherein the transducer can be upstream or downstream from the scanning device. The illuminator provides illumination light that is modulated by the image transducer. The scanning device, illuminator and image transducer are operated in synchrony so that an image formed in a photoresist layer on a moving substrate forms a photoresist pattern that is not substantially smeared.